[The Money Market Review, Juni bis Oktober 1867]

The Money Market Review, 6. Juli 1867. S. 4/5.
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The closing of Railway Accounts. (Money Market Review 6 July. 1867)

Never has been any Railway Capital Account of any Railway Co. in this country closed excepting by absolute compulsion. When the necessity has arisen, the dividend has invariably stopped. Nehmen wir Railway Cos, nicht nur jezt als bad acknowledged, but auch very best.

London and North Western.
Charges to Capital Account during last 3 years.
30 June 1864 £644,807
31 Dec. 1864 711,864
30 June 1865 656,263
31 Dec. 1865 802,751
30 June 1866 669,823
31 Dec. 1866 987,226
Total £4,472,734
South Eastern.
31 July 1864 £.179,060
31 Jan. 1865 329,197
31 July 1865 466,164
31 Jan. 1866 587,893
31 July 1866 549,432
31 Jan. 1867 297,032
Total £2,408,778
London, Brighton and South Coast.
30 June 1864 £389,082
31 Dec. 1864 793,472
30 June 1865 834,580
31 Dec. 1865 687,078
30 June 1866 822,884
31 Dec. 1866 1,163,911
Total £4,691,007.
Great Northern
30 June 1864 £168,590
31 Dec. 1864 894,153
30 June 1865 487,232
31 Dec. 1865 1,786,274
30 June 1866 738,308
31 Dec. 1866 613,789
Total £4,688,346

Diese 4 Railways together in 3 years more than 16£ St. (Millions) gepumpt. Difference between them: with The Brighton et South Eastern , the last dividends paid palpable illusions, whilst with London and North Western und Great Northern , there was something real, if not all.

The Money Market Review, 6. Juli 1867. S. 7.
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Pre-Preference Stock. – Great Eastern in Chancery.

This „Railway Cos. Bill“, read a second time in H. o. Lords on 25 June (67) originally introduced by Sir Stafford Northcote und Watkin. It is now no secret that various Railway Cos. in this country have contracted mit bankers, lawyers, contactors, and other creditors, debts which they cannot pay und these Creditors the chief instigators of the Bill before Parliament, whereby they seek, at the cost of others, payment of their claims.|


„Receivers“ have been appointed by the Court of Chancery for the Great Eastern Railway Co. Adopting the explanation given by Mr. Baxter, this signifies that the Court takes to itself the net revenue of the railway, and pays both principal and interest to debenture holders with that net revenue. … We cannot have Vice-Chancellors and „Receivers“ as our railway managers, and the nation will sooner or later demand that, whatever the existing condition of the law between railway debtors and creditors, we must have the means of locomotion in its fullest efficiency. Terminable debt must be exchanged for funded or permanent debt. Railway debentures must be changed into Railway Consols, the principal of which will never fall due, but may always be obtainable on the Stock exchange.

The Money Market Review, 6. Juli 1867. S. 8.
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The London, Chatham, Dover Railway Account with Peto et Co. (Money Market Review 6 July, 1867)

When Peto et Co stopped payment, they classed amongst the assets a sum of more than a million claimed as due from Chatham and Dover Co., und jezt the Directors of the Co claim more than 6 Mill. £ from Peto et Co. Shows how accounts may be muddled and meddled. As means of settling the question, Mssrs. Peto et Co have at last been thrown into the Court of Bankruptcy.

Folgendes die precise figures des accountant employed by the directors. Peto et Co. are charged with stock and shares issued at par thus:

Peto et Co. owe to Co:
1) General Undertaking

stocks and shares issued at par
2) Metropolitan Extensions 6,733,000
3) City Lines 700,000
4) Victoria improvements 520,000
5) Eastern Section 1,070,000 Summa: £11,594,551
6) Cash paid to Peto et Co. 4,403,443
7) Total. £15,997,994
Peto et Co are credited by Co:
For work done £2,993,265
For cash 2,171,337
Balance to be accounted for £10,838,392
Deduct, received from the public by the Co 4,171,450
Balance due by Peto et Co exclusive of interest et liabilities not ascertained £6,661,942.
The Money Market Review, 13. Juli 1867. S. 34/35.
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British Exports of Cotton Goods to East Indian Empire. (Money Market Review July, 13, 1867)

Mostly during last months bad news from the various seats of trade, but cotton manufacture considerably expanded. This Trade ever overdone; namentlich in exports of gray and white shirtings, or, as they are described in the returns, plain cottons, to India, under this description being included the chief portion of our manufactures consigned to that country. It is also interesting to remark the shipments now going forward, by comparison with those for the corresponding period of last year, especially when viewed in relation to the falling off in the total extent of the export trade of the country as shown by the returns of the Board of Trade. Thus total value of British Exports for the 5 months ending 31 May 1867, was £72,123,393, and for the corresponding 5 months of 1866 was £78,227,710, showing for this year falling off in value of £6,104,317, almost 81/2%. But the figures published by Samuel Mendel (of Manchester) – which do not give values – show that the exports of plain cottons to India alone, for the 6 months ending on 30 June, 1866 1867 = 356,806,060 yards, against |53 only 221,606,571 yds in the same period 1866. The increase in quantity, therefore, for this year, = 135,199,489 yds, no less than 61% more than the shipments for the corresponding 6 months of 1866.

The relative value of Manchester goods, coupled with the state of the Money Market now, accounts in a great measure for the increased quantity of cotton manufactures lately exported. F.i., in 1866 prices 23 to 25% higher than this year, and rate of discount 1866 between 6 and 10%, this year from 31/2 to 21/2.

Trotz den very material differences in the quotations for cloth, 1867, as compared with 1866, the total value of exports of Manchester goods to India considerably larger than for same period 1866; therefore, the reduction in aggregate value of the export trade of the country must be accounted for in other departments of business than that connected with India.

From India exported cotton to England, 1859–60: £5,570,000 worth of cotton, 1865–66: £33,500,000. Indian mutiny of 1857 for short period almost paralysed our trade with that country; this was followed, however, by a remarkable rebound in the shipments of cotton goods.

Exports of plain cotton von England und Scotland to India (the 3 ports of Calcutta, Bombay, Madras) von 1857–1867.
Year Total Exports in Yds Average Export per month in yds
1857 318,461,238 26,538,436
1858 611,172,943 50,931,078
1859 742,535,638 61,877,970
1860 587,849,719 48,987,477
1861 588,920,874 49,076,740
1862 376,581,472 31,381,789
1863 420,630,376 35,052,531
1864 346,764,580 28,897,048
1865 418,140,905 34,845,076
1866 550,894,854 45,907,904
Six Months ending June 30, 1867 356,806,060 59,467,676.

These figures show an average yearly export of more than 496 millions yds; we ship, also p.a. to India 281,929 miles calico to India, a quantity which, if placed in a line, would extend beyond the moon, and encircle the earth nearly 12 times. Is the present increased trade to India sound?

The Money Market Review, 29. Juni 1867. S. 744.
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Board of Trade Returns. Month ended April, and 4 months ended April.

Imports In the month ending 30 April
Imports. 1865 1866 1867
Enumerated articles £13,078,755 22,455,968 18,701,332
In 4 months ended 30 April
Enumerated articles £45,337,850 £68,804,895 £60,166,150
Less Raw Cotton 13,967,469 29,244,760 17,579,628
£31,370,381 £39,560,135 £42,586,522
Less wheat 1,089,367 3,531,492 6,285,401
£30,281,014 £36,028,643 £36,301,121
Exports British Exports in Month ended 31 May
All articles £13,194,758 15,870,131 £15,936,864
In 5 Months ended 31 May
All articles £60,901,576 £78,227,710 £72,123,393
Less Cotton manufactures 18,116,058 25,535,520 22,781,049
£42,785,518 £52,692,190 £49,342,344.
The Money Market Review, 20. Juli 1867. S. 58.
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Amalgamation of Brighton and South Eastern Railway. (Money Market Review July 20, 1867.[)]

Diese 2 Scheiße amalgamated. South Eastern Co. is to take 55% of the Net Revenue, Brighton 45%; these terms being subject to alteration mit change of time und circumstances.|


The Money Market Review, 27. Juli 1867. S. 81/82.
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Pre-Preference Shares. H. o. Lords. 23 July. 1867.  Zusatz von Marx.
(H.o.C. Private Interests)

H. o. Lords rejects on 23 July principle of Pre-Preference Shares – the Confiscation Scheme, sanctioned by H.o.C. Der existing British Railway Preference Stock – that would be attacked by Pre-Preference Shares – 150 Mill. St. Aber alles, priority und other property together, 500 Mill. £. St. Ferner hat das H. o. Lords expunged from the Railway Cos. Act, 1867 just those clauses, whereby railways might be put up to auction and knocked down summarily to the highest bidder. Economist vertheidigte dieß. There was the passing of the Bill through the House of Commons „in most mysterious Manner“, smuggled through it with almost no challenge. Private interests in the H.o.C. sufficiently powerful to carry this bill through, for their own special advantage, and without any apparent opposition. Deputation of railway Proprietors to Duke of Richmond, President, and Cave, Vice President of the Board of Trade, showing that that Bill amounted to confiscation. The memorialists, in regard to the compulsory sale of a railway state, that it must end in the sacrifice of the property, inasmuch as its intrinsic value is too great for ordinary and legitimate competition. Consequently, there being no purchaser, a railway which has cost 20, 30, 40, or perhaps 50 mill. St. must be knocked down at a price far below its price. Ferner: the intrinsic worth of a railway can only be ascertained by a very slow process, so daß value schwer zu bestimmen. Als Beispiel führen die Memorialists an: sale of the Bagnalstown, New Ross, and Wexford line, sold by compulsion; for £25,000 or £1,110 p. mile, while cost £220,000 or £10,000 per mile. In fact, the net sum realised, did not even pay for the cost of rails and sleepers. And a railway which has cost 22 Mill. £. might sell for a smaller relative value than the one which cost only £220,000.

 Kommentar von Marx.
Es war also Bande im H.o.C., die durch Confiscation sich zu Spottpreis in Besitz der Railways setzen und die existirnden Proprietors expropriiren wollte und diese Bande powerful enough to carry clauses to this effect, ohne House of Lords, in Railway Cos. Act, 1867. Die Geschichte wegen der Pre-Preference Shares kam vor das Haus of Lords nicht mit dem Railway Act, 1867, sondern mit Bill der North British Railway Co., zu diesem Behuf. (Vor H.o.L. Committee)

The Money Market Review, 3. August 1867. S. 111/112.
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Extraordinary Position of the Money Market. (Money Market Review 3 Aug. 1867)

Dieß 2% Minimum Rate of Discount occurs at a period of widespread discredit.

First Reduction to Minimum der Rate to 2%. April, 17th 1852. Compared State mit July 31st 1867.
Coin et Bullion in both Departments. £19,560,000 £22,926,000 Increase £3,366,000
Total Reserve in banking department 11,504,000 13,743,000 Incr. 2,239,000
Government deposits 3,265,000 4,898,000 Incr. 1,633,000
Private deposits 13,907,000 20,594,000 Incr. 6,687,000
Private securities 11,086,000 17,322,000 Incr. 6,236,000
Gvt securities 13,396,000 12,831,000 Decrease 565,000
Active circulation. 22,056,000 24,183,000 Incr. 2,127,000

In both occasions Private deposits have exceeded Private securities, in 1852 by £2,821,000 und this week by £3,272,000. I.e., the B.o.E. received more money from the commercial classes who lend, than it advanced to its discounting customers. The variations shown between the two items of private deposits and private securities (loans, discounts etc) is generally a good index of the State of the Money Market. In 1852, April 17, Total Reserve = 623/4% of the liabilities of the Banking Department to Public; it is now only 53%; but in 1852 the Reserve was £5,391,000 more than 1/3 of the liabilities, and now it is £5,082,000 more than the one third.|

Second Reduction to Minimum discount Rate of 2%. 23 July 23, 1862.
Comparison of July 23 1862 und July 31, 1867.
Total Coin and Bullion both Dpts. £18,061,000 £.22,926,000 Increase £.4,865,000
Total Reserve Banking Dpt. 10,508,000 13,743,000 Increase. 3,235,000
Gvt. Deposits 5,291,000 4,898,000 Decrease 393,000
Private Deposits 17,203,000 20,594,000 Increase 3,391,000
Private Securities. 19,582,000 17,322,000 Decrease 2,260,000
Gvt Securities. 10,953,000 12,831,000 Increase 1,878,000
Active Circulation. 22,203,000 24,183,000 Increase 1,980,000

The increase now shown in reserves as compared mit 1862, £4,865,000 in total coin et bullion, £3,235,000 in Reserve of notes et coin and £1,878,000 in amount of Gvt securities.

In 1862 Private Deposits £2,379,000 less than private securities, giebt für this week (67) Überschuß (verglichen mit 1862) der Private Deposits over Private Securities of £5,651,000.

In 1862 banking Reserve £2,763,000 more than 1/3 of liabilities to public = 45% of the total amount, against £5,082,000 and 53% respectively at the present date.

In 1852 2% lasted for 37 weeks, in 1862 for 14 weeks. In 1852, notwithstanding the almost nominal nature of the terms for accommodation, there appear to have been very few alterations in the amount of private securities, other than those which occur at the close of every quarter. The tendency was undoubtedly to decline in this item until after the payment of the October dividends. The private deposits also afforded evidence of sluggish demand for money. The Reserve consequently continued to augment, and on 20 June (1852) was £14,700,000 – an increase in 10 weeks of £3,196,000. The coin and bullion attained its highest point of that year on July 10: amount was £22,232,000, being an increase in 12 weeks, after the reduction in rate of discount, of £2,672,000. 1852 year of remarkable ease in money market, also year of general prosperity; trade was active in almost every department, the working classes were earning good wages, and prices of commodities were high. Cheap money, concurrently with these facts, caused large orders to be sent abroad for all kinds of produce. The reaction in the value of money which occurred at the clause close of the year was mainly caused by the payments for this produce.

On the second occasion of the 2% Minimum Rate discount, 24th July 1862, it was followed by a partial increase of strength in the accounts of the B.o.E. The fall of value of money in 1862 chiefly to be attributed to the fact that we received gold instead of cotton from America in payment for the large exports of our manufactures. An abundant harvest also assisted the money market. The reaction occurring in the autumn was caused by the demand for bullion and specie for export to the East in payment for cotton.

It will thus be seen that the circumstances which relieved the depression in monetary circles at former periods of extreme ease of money market are not likely to come to our assistance on the present occasion. There are few, if any, inducements for merchants to send out orders abroad for |57 produce, unless the negative one that prices are so low that very little room is left for further reduction. There is probability of average harvest; no chance of foreign loans or undertakings being entertained by capitalists; the late disclosures in the railway would close opening in that quarter; strikes and discontent amongst the working classes interfere with investments in manufactures; in addition, unsettled state of Continental politics checks new enterprise.

The Money Market Review, 3. August 1867. S. 115/116.
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Pre-Preference Shares. (Money Market Review Aug. 3, 1867.)

In der North British Railway Co. Bill wegen Pre-Preference Shares Gladstone vertheidigte diese Maßregel; in seiner Evidence vor Lord’s Committee (26 July 1867). Lord House Committee announced 27 July that they had come to the conclusion to strike out all that portion of the Bill relating to Pre-Preference Stock. Nach Times (22 July) Pre-Preference Stocksimplest and most straightforward, and therefore the most honest way of meeting the difficulty.“ Die Times sagt, der case of North British Railway Co „a case of ordinary indebtedness, must be dealt with – upon first principles.“ Danach also its „first principles“ die des pick[-]pocket, that the simplest and easiest way of dealing mit difficulties zugleich the most honest.

The Money Market Review, 3. August 1867. S. 117/118.
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Board of Trade Returns. (Money Market Review Aug. 3, 1867)

We are importing much less cotton and much more corn. Apart from these items our imports of the 5 months are valued at about 41/2 Mill. less than in the same 5 months last year, and about 5 millions more than 1865, or about a million difference by month. As to Exports: greater in June 1867 than June 1866, and very much than June 1865 or any preceding June. Diminution in the values of our exports of cotton, linen, woollen, and iron manufactures during the first 6 months of 1867, as contrasted mit corresponding 6 months of 1866 to amount of about 5 Mill.; but apart from these special items, which constitute more than 1/2 [of] our exports, figures of 1867 and 1866 nearly identical. Im Ganzen die Exports of first 6 months of 1867 131/2 millions more than in corresponding months of 1865, or more than 18% increase. (Verte)

Imports. Computed Real Value. Month ended May, 31, 1867.
1865. 1866 1867
Enumerated articles £14,595,979 £.23,225,301 £23,275,243
Five Months ended May 31.
1865. 1866. 1867
Enumerated articles £59,890,063 £.92,030,712 £83,441,393
Deduct cotton 17,182,887 38,397,752 25,883,272
£42,707,176 £53,632,960 £57,558,121
Deduct cereals 5,703,897 6,891,134 15,375,190
£37,003,279 £46,741,826 £42,182,931

Import Values of May 1867 larger than May 1866 und much larger than May 1865. Import Values of 5 months smaller than 1866, much larger than in corresponding months of 1865. Chief item of immediate increase in Imports are Cereals, including all farinaceous food.|

Declared Value of Exports (British and Irish Produce)
Month ended June 30.
1865 1866 1867
All articles £13,227,062 £.14,630,120 £15,490,091
Six months ended June 30
1865 1866 1867
All articles £.74,128,638. £92,857,830 £87,613,484
Deduct cotton manufactures. 21,629,845 30,418,414 27,500,523
£52,498,793 £62,439,416 £60,112,961
Deduct linen manufactures 4,056,196 4,917,668 3,796,828
£48,442,597 £57,521,748 £56,316,133
Deduct iron and steel 5,828,545 7,497,609 6,964,213
£42,614,052 50,024,139 £49,351,920
Deduct woollen manufactures. 8,034,020 10,534,581 9,877,715
£34,580,032 £39,489,558 £39,474,205.

Trotz depression of commerce, exports für June 1867 exceed those of June ’66, 65’ and any preceding June. Chief declined decline, compared with 1866, in cotton manufactures. Deducting cotton, linen, woollen und iron manufactures, exports almost same as in 1866, und much more than in same 6 months of 1865.

The Money Market Review, 10. August 1867. S. 142/143.
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(„The „The Railway Cos. Act, 1867“ (schließt Scotland aus, England und Irland ein) und Pre-Preferences. (Money Market Review 10 Aug. ’67)

In diesem Akt (durch die Lords) die Pre-Preferences ausgeschlossen, aber  The Money Market Review: „on Thursday week“. – Die dritte Lesung der „North British Railway Bill“ fand am 1. August 1867 im House of Lords statt. Siehe https://parlipapers.proquest.com/parlipapers/docview/t71.d76.lds3v0189p0-0005?accountid=8584.
on August 8
ließ das H. o. Lords sie durch a sidewind zu, North British Railway Bill.

One amendment introduced into the Act by the Lords: that no dividend to be declared by Railway Co. until the auditors have certified that in their judgment it had been really earned, und daß, wenn difference between them und directors, the question shall be stated in the Report to the shareholders.  Zusatz von Marx. The Money Market Review: „This would be all very well it if could possibly be carried into effect, but, much as we respect the honesty of Lord Redesdale’s intention, we fear he has attempted an impossibility.“ – Lord Redesdale war der „chairman of committees“ des House of Lords.
Dieß alles Nonsense!
Among directors, auditors, and shareholders there is one common interest and object – the support of the dividend and the advancement of the market value of the share. Above all things they seek to prevent any depreciation in the value of the stock.

Money employment. (Money Market Review 24 August 1867)

The Money Market Review, 24. August 1867. S. 197/198.
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The circulars of the Mincing-lane brokers show that though an occasional inquiry for certain articles of produce, no business in any market. In many of the great staples, f.i. cotton, coffee, sugar, tea, silk – though the stock comparatively low as regards some of them – demand is languid. It might be supposed that, tempted by the cheapness of money, speculators would come forward and impart something like a tone to the unduly depressed produce markets; but such is not the case. There are few, whether wholesale dealers or retailers, who care to look far beyond immediate wants and the daily supply of their customers, speculators for the present remaining quiet in the background.

The Money Market Review, 24. August 1867. S. 197/198.
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Obgleich Zins 2%, a good bill arising out of a bona fide transaction with three good names to it will scarcely pass muster in some (banking) quarters. The extreme points of accommodation, together with high dividends, having been attained prior to the crisis of 1866, we must now rest satisfied until the past is forgotten, and shareholders become clamorous for increased risks and higher returns.|


The Money Market Review, 24. August 1867. S. 197/198.
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Stocks, shares, and other marketable securities, when largely dealt in, no doubt absorb considerable amounts of surplus money, which do not pass into trading and commercial channels. The interest and dividends derivable from such modes of investment, as forming a portion of the incomes of the investors, are distributed chiefly for the supply of daily or weekly requirements. … if such incomes fail, the retail trade as well as the wholesale, languishes.

The Money Market Review, 24. August 1867. S. 199/200.
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In the heyday of speculation in 1864 and 1865 even the most cautious investors were selling their India Stock or their Consols because they were not satisfied with the income yielded, and wished, as others appeared to do, to obtain for the same capital 2 or 3, or, perhaps, 4 × their previous means of annual expenditure. … Now, umgekehrt, the price of Consols, of India Stock, of Bk.o.E. Stock, and other first-class securities, is getting too high even for timid investors … Two or 3 years ago the interest received on deposit of money with bankers or other moneyholders, who guaranteed a return of the principal, suggested almost as good a channel for investment as could be found; but that channel now is closed. Bankers pay but little for deposits, because they can make but little by them. After previous panics, when Gvt securities and other solid means of investment have been absorbed, it has been our custom to turn to foreign stocks, and wherever this symptom has been manifested it has been the practice of our foreign debtors to offer us some new loan at what appears to be a tempting price. With millions upon millions lying idle, we are prone to snatch at the opportunity, but the result … almost uniformly disastrous. We invariably lose our money over those foreign loans.

The Money Market Review, 24. August 1867. S. 201/202.
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London Joint Stock Banks during last half year (ending 30 June) 1867.

Aus diesem Account folgendes:

Deposit and Current Accounts. PCt of Current Deposit Accounts to Paid up Capital and Reserve Acceptances Ratio of Acceptances to paidup Capital et Reserve Fund. P.C. Ratio P.Ct of Acceptances to Current, et Deposit Accounts. Liabilities to Public on Deposits and Acceptances P.Ct of Total Liabilities to Capital und Reserve Fund
London and Westminster £21,858,958 1457 P.Ct. £784,250 53 P.C. 31/2% 22,643,208 63/4%
London and County 12,032,334 953 1,397,185 111 111/2 13,429,519 91/2
London Joint Stock 10,864,926 766 3,868,839 273 351/2 14,733,765 91/2
Union 10,614,719 708 7,742,404 489 69 17,957,123 81/4
City 2,285,068 394 1,777,529 306 773/4 4,062,597 141/4
Alliance 1,241,579 125 222,521 23 18 1,464,100 671/2
Imperial 1,072,448 217 90,863 18 81/2 1,163,311 421/2
London and South West 479,564 236 15,850 8 31/4 495,414 41
Consolidated 2,159,710 241 128,588 14 6 2,288,298 39
East London 382,605 342 0 0 0 382,605 291/4

The total deposits and current accounts of these 10 banks £62,991,911, acceptances to £15,628,029, making a total liability to public of £78,619,940. The total paidup capital and reserve fund of the whole of the 10 banks amounts to £8,954,292; is in course of augmentation. Capital and Reserve Fund of London and Westminster is to be increased to £3,000,000 by Nov. 16, 1868, of the London Joint Stock Bank to £1,67,839 £1,617,839, by Dec. 31, 1867; und London and County Bank to £1,500,000 by Febr. 27, 1869.

The Money Market Review, 24. August 1867. S. 203/204.
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Exports of British Cotton Goods to Indian Empire. (Money Market Review 24 Aug. 1867)

It is impossible, in the face of a continued decline in the quotations in India for cotton manufactures to say that the large exports of the last few months will result in satisfactory results to all shippers. Losses appear inevitable |60 on these particular shipment shipments, but, where the business has been based on ample resources, they will be small compared to the losses of those who, in addition to the ordinary commissions of buying and selling, have had to pay bankers’ commissions and other charges for accommodation. If any portion of our Eastern trade unsound, it is that carried on by weak capitalists. It is to be hoped that in general previous gain will have more than counterbalanced any previous losses. … The fall in prices, caused by the recent heavy shipments, will promote an increased demand, and consumption of English made cloths. So large advantages may be ultimately obtained.

In the following quinquennial table before 1853 Madras not included, but its shipments not more than 2 or 3% of the whole, daher of little consequence. Increase et decrease are given of each cycle, as compared with the one immediately preceding it.

Five years ending Average monthly exports in yards Yards.
1846 13,910,000 yds Yards
1851 16,418,333 Increase of 2,508,333 yds or 18%
1856 28,110,487 11,692,154 or 711/4%
1861 47,482,340 19,371,853 or 69%
1866 35,216,869 Decrease of 12,265,471 yds or 253/4%
Eight months ending August 1867 60,782,006 Increase of 25,565,137 yds or 721/2%

The Exports during 1840 and 1841 averaged a little more than 6 mill. yds per month. Thus progress in 26 years not quite tenfold. The period 1847–51 decidedly checked the export trade to India, and considerably affected the average for the 5 years. Cycle of 1852–56 includes Crimean war; period of ease in money market, export of plain cottons to India increased by 711/4%. Cycle of 1857–61 embrace panic of 1857 and Indian mutiny of 1861, interfered very little with the average export of that period, as they are again nearly 70% more than average of the preceding cycle.

The values of plain cotton manufactures exported to India during the 20 years ending 1861 varied between 1s. und 1s. 3d. per lb. During the 5 years ending 1866 average value was about 2s. p. lb., but exports decreased only 253/4%, small diminution in comparison to the large increase in the cost. The value of cotton manufactures for India at present 1s. 4d. per lb, and we do not look for material reduction for longtime to come. It is a matter for the consideration of exporters, who have the option, whether they will support the Indian markets by holding their stocks, or still further depreciate values by forcing sales at a sacrifice. There are times to hold and times for selling.

In the summer 1861 Col. Baird Smith made Report to the Gvt. of India on the British piece good trade between Calcutta and North Western Provinces. He stated that 30 millions of people supplied from Calcutta alone mit our manufactures; that vigour of demand determined by the facilities of transport; „the agricultural and poorer non-agricultural population had at that time scarcely become the customers of Manchester at all[“]; he pointed to the serious effects of the periodical famines in India und said in regard to the Manchester piece good trades: „I am inclined to believe that less than 1/3 of the field open to its operations has yet been taken possession of.“ In 1854 there were but 35 miles of |61 railway open in India in 1860 734 miles, in 1865 2747 miles. The receipts from passenger traffick in 1854 £13,647, in 1860 £231,071 und in 1865 £1,302,432. The receipts from the goods traffick in 1854 £604, in 1860 £339,469 und in 1865 £1,815,243. The amount expended on railways at the close of 1859 £23,559,632 und 1865: £58,679,990. The Population of India, European and native, under British administration, nearly 150 millions; but the total population of all India 193,100,963, und extends over area of 1,553,282 □ miles.

The Money Market Review, 31. August 1867. S. 227–229.
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The Brighton Railway: The Reports of the (new) Directors, Auditors, and Accountants. Dividends Suspended. (Money Market Review 31 Aug. 1867)

They tell us, that is in 12 years the capital has increased from 73/4 to 153/4 mill., so that in this interval the capital outlay has been more than doubled. Ostensibly increase of revenue of £113,000 p.a., but we are told that this was not so, and that the dividends on both the preference stocks and on the original or ordinary stock were fallacious, because interest was charged to capital, and other revenue payments were also charged to capital, which in effect means that dividends were paid out of capital. Ja, the dividends of this Co. for many years past have not only been more or less fictitious, but the Co’s net income for 1866 actually less than 12 years ago, notwithstanding the expenditure in the interval of more than 8 millions, which amounts to more than half the Co’s entire capital.

The new board will have no „suspense accounts“, which mean, in effect, charges to revenue deferred for the time, and ultimately placed to capital.

Dividend, however paid, keeps the directors in seat, wards off committees of investigation, humours the shareholders, supports the market values. Hence!

In April 1849 there was a Report from a committee of investigation upon Eastern Railway Co; and from this it transpired that Hudson had converted a dividend of 3sh. p. share, earned with difficulty, into 9sh., by a few scratches of the pen, and after this „the accounts were made up in accordance with the books, and did not show that any such dividend had been earned“. The committee also discovered that „out of £545,714 paid as dividends, £320,573 was taken from capital or held in suspense“. Above all, the assistant accountant declared in evidence that „it was a generally understood thing that capital was to bear what revenue would not“. All this happened 181/2 years ago. At that momentous period in our railway history there were committees of investigation into the affairs of the Lancashire and Yorkshire, Midland, North British, South Eastern, the York, Newcastle, and Berwick, the York and North Mitland, and other cos; and „financial statements“ were put forth by the Great Western, the London et Southwestern, the London and Northwestern, the Brighton, and others. Result of all, nearly without exception, was either a decline in the dividend, or its absolute suspension; and this, too, from one cause alone – the extravagant outlay of capital, and systematic payment of dividends out of capital, in order to conceal the relatively small accession of profit.|


 Kommentar von Marx auf Grundlage von Angaben aus: The Money Market Review, 31. August 1867. S. 225.
Nehmen wir die 5 Railways – London and Northwestern, London, Brighton etc , Midland , Lancashire and Yorkshire, Great Northern, so haben sie in den 18 months von 31 Dec. 1865 bis 30 June 1867 ihr Kapital (dessen Gesamtsumme am lezten Datum £136,026,509) raised um nearly 17 Mill. £ oder 14.11%, Gross Revenue not quite increase of 3/4 Mill. £. oder 5.01%, but at the same time this addition to the gross revenue has been more than absorbed by the cost of working. In a word, net profits are smaller after the outlay of 17 millions than they were without it. The Preference Charges increased in this brief interval no less than £407,324 or 10.78%. Result that there is less for the ordinary dividend by £412,652, or 10.19%, trotz outlay of nearly 17 millions.

The Money Market Review, 31. August 1867. S. 229/230.
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The Board of Trade Returns. (Money Market Review 31 Aug. 1867)

Danach seems that Value of Imports much smaller in this year than 1866 und Value of Exports about the same, or little less. This points to a further accumulation of precious metals. Zugleich growing Commerce. Guter Herbst, less cereals und import of cotton (value) smaller.

Computed Value of Imports.
Month ended June 30.
1865 1866 1867
Enumerated articles: £15,409,877 23,243,939 20,054,958
Six months ended June 30
Enumerated articles: £75,299,940 115,274,651 103,496,351
Deduct raw cotton: 20,478,572 47,348,759 32,367,199
£54,821,368 67,925,892 71,129,152
Deduct cereals 7,409,782 13,465,994 18,101,524
£47,411,486 54,459,898 £53,027,628

Nearly 12 Mill. less for cotton than 1866. The import of cereals was 51/2 mill. more than first 6 months 1866, but now good harvest.

Exports, exclusive of Foreign Goods previously imported but not manufactured.
Month ended July 31st
1865 1866 1867
All articles declared value £14,113,410 14,957,834 15,562,430
7 months ended July 31
All articles. Declared Value. £88,242,048 107,815,664 103,175,914
Deduct cotton yarn 5,062,047 7,577,085 8,413,869
83,230,001 100,238,579 94,762,045
Deduct cotton manufactures 25,428,024 35,258,375 32,117,439
£57,801,977 64,980,204 62,644,606
Deduct linen manufactures 4,775,619 5,634,616 4,437,795
53,026,358 59,345,588 58,206,811
Deduct iron and steel 7,016,527 8,799,681 8,413,810
46,009,831 50,545,907 49,793,001
Deduct woolen and worsted yarn 2,924,233 2,465,035 3,326,526
43,085,598 48,080,872 46,466,475
Ded. woolen and worsted manufactures 9,953,550 12,397,896 11,846,369
£33,132,048 35,682,976 £34,620,106

Obgleich in the 7 months ending 31 July 1867 smaller than in 1866, in month July greater. This shows increasing trade. Exports of cotton, linen, yarn and manufactures, iron and steel = 2/3 of the whole, are on a scale far in excess of any estimate 6 months ago, and point to revival of our foreign trade.|


The Money Market Review, 7. September 1867. S. 253/254.
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Diminution in Profits of B.o.E. Forthcoming Dividends. (Money Market Review 7 Sept. 1867)

Profits for 6 months ending Aug. 1866 exceeded those of any former half year. Rest on 5. Sept. (1866) of that year £3,987,417, and shareholders received dividend of 13 p.Ct. p.a. for the half year, highest amount since passing of Act of 1844. The Rest now amounts to only £3,658,068, being £329,349 less than 1866. It is only £18,422 more than the amount returned at 3d Sept. 1862, which was the smallest sum stated at the close of any half year during the last 15 years.

The gains during the 14 weeks’ infliction of the 10% Rate £672,648. The profits during the whole of the last 6 months not exceeded £650,00 £650,000.

The Money Market Review, 7. September 1867. S. 255/256.
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London Joint Banks last half year. (Money Market Review 7 Sept. 1867) Continuatio (S. 59)

Table I. Assets.
Cash in hand and at Call Total cash, Consols and other Investments Ratio p.Ct of Cash and Investments on Bills discounted, advances, et Loans to Customers. Ratio per Cent of Bills disc. Advances etc, on
Capital and Reserve Fund Liab. to Public Capital et Reserve Fund Liab. to Public
London et Westminster £2,718,481 6,370,796 425% 28 £.17,944,367 1196 P.C. 79
Lond. et County 3,284,352 4,263,148 338 P.Ct. 32 10,334,328 819 77
Lond. Jt. Stock 1,602,601 2,682,601 189 18 13,568,704 957 92
Union 3,419,647 5,301,168 353 30 14,172,609 945 79
City 502,967 821,115 142 20 3,819,136 658 94
Alliance 317,503 357,228 36 24 2,060,145 208 140
Imperial 272,990 325,440 65 28 1,360,746 275 117
Lond. et Southwest 43,501 43,501 21 9 638,290 314 129
Consolidated 492,664 600,267 67 26 2,428,355 271 106
East London 110,450 110,450 101 29 341,899 305 89

The amounts under „Cash in Hand und Call“ include bei London und Westminster und London Joint Stock Bank nur Cash in Hand und in Bk.o.E., bei den andern cash lent „at call“ or „notice“ with the discount houses.

Table II. Profits and Dividends.
Net Profits. Rate p.Ct. per annum of Profits on Balance from previous Halfyear Amount of Dividend for Half Year Rate Pct p. annum of Dividend. Balance carried to next Half Year.
Deposits and Acceptances. Paidup Capital.
London et Westminster £.146,066 1.29 29.21 £.45,899 £.140,000 28 £31,955
Lond. et County 82,058 1.22 20.19 14,468 89,445 22 7,081
Lond. Joint Stock 97,169 1.31 17.99 0 90,000 16.66 2,176
Union 122,043 1.36 20.34 99,437 150,000 25 11,479
City 27,344 1.35 10.94 0 25,000 10 700
Alliance 17,055 2.33 3.45 2,757 14,846 3 3,966
Imperial 13,885 2.39 6.17 4,224 13,500 6 4,608
Lond. et South West 4,362 1.76 4.36 1,003 5000 5 365
Consolidated 33,039 2.89 8.71 9,107 18,958 5 8,188
East London 2,293 1.20 4.59 1,509 2,500 5 201

In some cases special losses have occurred during the half year which have been charged to reserves in hand; f.i., the Union Bank has deducted from the £99,437, brought forward from the previous |64 half year £60,000, this being, as stated in the report, an „amount now written off to doubtful debts account“. Properly speaking, therefore, the net profits accruing to that Bk. during the past half year were only £62,043 instead of £122,043. Für Alliance Bank depreciation has taken place on „the value of the securities held against previous bad debts“, which has necessitated the taking of £60,000 from the Reserve Fund. If debited to the past 6 months’ accounts, would have absorbed all the profits, and there would have remained a further debit of £42,945. The Imperial Bank experienced an unfortunate mishap on the last day of the half year which resulted in loss of £19,000, and, by charging the past half year with this item, result would have been loss of £1115.

Net Profits for the whole of the 10 Banks. £545,314; very large sum, considering that trade was inactive, and average Bank Rate only 3%. The 4 largest establishments hold deposits of money to £55,370,937, and an average margin of net profit of 1% p. annum on the employment of this sum would yield in 6 months £275,000.

The Money Market Review, 7. September 1867. S. 256/257.
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India Trade and Four Months Usance. (Money Market Review 7 Sept. 1867)

Seit einiger Zeit die usance reduced to 4 months.

The circumstance of a shipper of produce being able to pay for it to a large extent by the negotiation of his draft at 6 months’ sight on his consignee in England, makes many a speculative person a shipper who would not be so, if he had to keep in view the probability of his consignee in England having to come under advance by accepting a bill at shorter usance.

Why are bills of exchange drawn at all against shipments of produce from India and other countries, and why does the shipper not pay for his produce out of his own resources, and wait to be reimbursed by remittances from the country where his produce has been turned into money? A shipper of produce to a large extent would, as the saying runs, require to have the Bk.o.E. at his back, to enable him to keep up a continuous stream of shipments if he did not draw against them. There are Bankers of the old rigid school – narrowminded beings – who look upon the purchases of such drafts as not legitimate banking business. We do not subscribe to this view of the case. Banks such as the Oriental, the Chartered Mercantile, and the Chartered of India have been established for the express purpose, amongst others, of dealing in exchanges, as set forth in their charters; what would the mercantile community do without such facility? Bills of Exchange drawn and negotiated against produce shipped from abroad, at once become representatives of value to a certain extent of that produce. They also become a circulating medium during their currency, and aid the purposes of trade and commerce, which, without such transactions, would be confined to very narrow limits indeed.

The Money Market Review, 14. September 1867. S. 276/277.
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Effects of a 10% and 2% Bank Rate. B.o.E. dividend. Last half year. 1867. (Money Market Review 14 Sept. ’67)

The Bk.o.E. excluded by its own regulations from discounting bills exceeding 3 months’ currency, wohl aber professes it to make advances on bills of longer currency where the holders keep an account with the Bank. The competition among other banks, discount Cos., and brokers acting for other banks is so strong, that the Bank o. E. rate is often little more than a „dead letter“, only made use of as a basis of information for others to take advantage of, and regulate their transactions.|


In certain contracts, such as the hypothecation of bills from abroad with shipping documents, the Bankrate applies to the payment of such bills under discount, and [in] many cases to the retiring or rebating of other bills; but, as indicating what ought to be or is the rate of discount in the open market, it certainly affords no real criterion. When the rate of discount are unusually low, as at present, short dated paper is, of course preferred, as guarding against the contingency of a rise in the rate, more particularly where rediscounting is practised. A 10%, with the prospect of a speedy reduction, tells heavily against the person compelled to discount, but may turn out a considerable source of profit to the money lender. When a 2% rate prevails, the holder of long dated bills will probably find it his best policy to discount it if he can. But such an extremely low rate may entrap the discount Co or Bank bold enough to let out his money at such a charge, in the event of a rapid advance taking place.

The Money Market Review, 14. September 1867. S. 277/278.
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 Titel von Marx notiert in „Heft 3. 1868“ der „Hefte zur Agrikultur“ (MEGA² IV/18. S. 588.14), in einem Exzerptheft 1878 (IISG, Marx-Engels-Nachlass, Sign. B 148) und im Notizbuch 1878/1879 (IISG, Marx-Engels-Nachlass, Sign. B 152).
A Sketch of the History of French Railways etc[.] By Sam. Haughton. Lond. 1867.
“ (Money Market Review 14 Sept. ’67)

The pamphlet divides Railway History in France into 3 periods, 1st) von 1823 to 1842, when private enterprise was the rule; 2nd) 1842 to 1852, when cooperation of State predominant; 3d) 1852 to 1866–7, when the largest part of the capital required [has been] furnished by private enterprise, but interest on chief part of it guaranteed by State.

Neither the system in France, much less costly and better devised than ours, nor the English system, produces, as a whole, a fair average rate of interest for the capital employed.

The old arterial lines of France laid down in Louis Philippe’s time, almost as directly as possible connected Paris, the centre, with the frontiers of France, realised large profits, just as our main lines did, and still earn large profits, but the new network belonging to each of these great French systems, inaugurated under the French Empire, so far as they are completed, have not realised more than 2% upon their cost, and their construction would, therefore, have been impossible without a subsidy, both from the State, and the communes or the parishes which they traverse. In a word, it comes to this, that if, either in France or here, there is to be such a system of railway intercourse, as the development of the national resources demands, railway construction must devolve not upon shareholders, but upon the landowners and upon the districts which derive from them the chief gain, and, in the next place, upon the State. In France, the State, instead of paying for the works executed for public benefit, granted to the contractors a monopoly for 99 years, at the end of which time all railways in France become State Property. High Roads have hitherto been paid for by all alike; Railways are now our great High Roads.

After the amalgamations and agreements of the French Railways in 1859, the Cos. had repaid to the State some of the capital advanced under the laws of 1842 and 1852; but then Gvt. and communes agreed to pay subsidies; and in 1861 considerable sums advanced by the State to the Western et Southern Cos to enable them to complete works in hand. Next, in order to raise the capital wherewith to construct the new network of lines conceded to 5 out of the 6 great Cos. of France, it was found found necessary to give State guarantees, and in 1863 the capital so guaranteed amounted to £.161,540,000; but at the same time the net revenues of the old lines were made rateable with part of the interest on the new, and the State reserved the right to convert these subsidies into annuities for 92 years calculated at 41/2%. In 1865, under this arrangement, the old lines became chargeable with some of the interest on the new, and the dividends on the old were thus reduced, while in the same year the State was called upon to pay a deficiency in the guaranteed interest, amounting to £1,400,000. With all this, question debated amongst French financiers whether the profits declared to have been earned were really earned, and whether, as in our case, they were not made up more or less from capital. In 1866 the old networks paid over for the new a sum equal to more than 2% on their share capital, and the balance – £1,200,000 – paid by the State. It is more than probable, that, with a never failing deficit in the French budget, and an absolute Gvt called upon to pay annually a railway deficiency of its own creation, the precise rights of capital and revenue are not always regarded so rigidly in France as they might be. We have not the pressure here, and yet we pay |66 dividends out of capital. Wie das auch sei, official Result as rendered in the pamphlet:

Decimal Proportions. Profits PCt on Capital
Share capital 0.21 12.75%
Capital in Bonds 0.20 5.65%
Capital in bonds 0.38 less than 2%
Capital in Bonds 0.18 interest charged to Captial account.
Government subsidies 0.13 No interest.

In addition the writer gives the following comparative table of the best rails in France, England, Ireland:

Northern of France London and North Western (1865) Great South and Western of Ireland ’65
Miles open etc. 770 1274 387
Cost p. mile £.28,000 £42,000 £14,400
Receipts p. mile p. an. £.4,875 £4,990 £1,200
Passenger trains, percentage Receipts. .39.5 .44 .62.7
Good trains, Percentage Receipts. .60.5 .56 .37.3
Dividend 141/2 £6. 12s. 6d. 5
Expenses P.Ct. of receipts 40% 43 .43
Average Receipt per Train Mile 6s. 11d 6s. 0.80d. 6s. 11/2d.
No. of miles run by trains. 9,875,983 20,692,143 1,539,080
Percentage Passenger Receipt. 1st class. .33 .33 .34
Ditto Percentage – 2nd class. .23 .36 .30
Ditto 3d class. .44 .31 .36

⦗The dividends for 1866 were – on Northern 141/2, Orleans 111/5, Eastern 63/5, Paris, Lyon et Mediterranean, 12%, Southern 8%, Western 7%. The amount paidup on the Northern shares is only £19, 4s.⦘

In France, also, trains less frequent than here, receipt per train mile greater than in England; 43% of the Capital of the Northern Railway possesses no priority to revenue, or, is in receipt of ordinary dividend, and on Gvt Southern and Western of Ireland it is 67%. The percentage of working expenses lower on French railways, while the percentage of receipts from goods higher than on English line, and yet this percentage is almost reversed on the Irish Gt. Southern and Western. Railways in France earn larger profits than in England or Ireland und dennoch the profits of rails in France do not yield a sufficient commercial rate of interest for the capital embarked, obgleich in all 3 countries dividends more or less paid out of capital. Author proposes, that railways public property Zusatz von Marx.
, and that fares and rates should not be so calculated as to pay interest or principal on the cost of the permanent way, stations etc, but that the permanent way and its belonging should be kept in full efficiency by taxes levied upon the public.

In England, landowners have not only derived special profits from the introduction of railways, but affected to have been called upon to make sacrifices, and were therefore entitled to compensation. We go with the pamphlet: instead of railways being taxed for landowners, landowners should be taxed for railways.

The Money Market Review, 14. September 1867. S. 281/282.
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Stock Markets. Week ending Sept. 14, 1867.  Zusatz von Marx.
(Railway Speculations) (Gvt. Securities) Der Philister.

Gvt. has lately taken advantage of cheap money market to reduce rate of interest on the March Exchequer Bills from 3 to 2%.

Railway Markets firm, general advance of 1%. A plethora of money and nominal rates of interest are almost invariably taken advantage of by the great speculators in the North to obtain large loans to the purpose of taking railway stock of the market. For some weeks past this policy has met mit success. The currency of loans, however, must terminate eventually. Questionable when the bulls attempt to reap their harvest, whether so remunerative as it appears at present. Public will scarcely take off the stocks the stocks off their hands, for in nothing is there |67 less disposition to invest than in home railway undertakings, and of bears there are left few.

Joint Stock Enterprise has done wonders for this country Zusatz von Marx.
But Zusatz von Marx.
The facility with which men of wealth utterly unacquainted with business – ladies, officers, clergymen, lawyers, individuals of every conceivable class – can become bankers, brewers, carriers, steamboat proprietors, and financiers has engendered chaos. Directors are a very fallible race after all.

Scarcely 2 months ago the newspapers teemed with letters denoting a determination to force definite accounts from the directors at the ensuing half-yearly meetings. The meetings are over, and what results have we? In certain cases, where the game had been carried on so long that borrowing was no longer practicable, the inevitable crash came, and every one was stupefied at the proven rotteness rottenness of cos. which had always been considered thriving.  Kommentar von Marx.
(In diesen Fällen der gewöhnliche Philister Indignation und Verwunderung, moralisches Geschrei, Committees of Investigation and so forth!)
What has come of these warnings? The chairman of one Co. can coolly announce that estimates have been exceeded, and that further borrowing powers must be obtained from Parliament to an amount which does not even venture to estimate. Another Co. presents its accounts in an absurdly brief form, and debits a proportion of the directors’ fees to capital, and yet a protest is scarcely heard. So long as cash is provided for dividends, and dividends are moderately good, there is no idea of inquiry as to whence these funds are derived. Is not the instinct of self-preservation sufficiently strong to induce the shareholders to demand more lucid statements of their real position, instead of waiting until it shall be supplied to them by a committee of investigation?

 Kommentar von Marx.
So jedoch ist der moderne Geldphilister und wird sein in seculum seculorum!

The Money Market Review, 5. Oktober 1867. S. 353/354.
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Board of Trade Returns and Money Market. (Money Market Review 5 Oct. 1867.)

Show that Imports decline, Exports increase, hence Accumulation of Gold. We want less cotton at lesser price. More food at higher price than 1866. These 2 items about 1/2 of our Exports. But cotton so much heavier item, regularly, that corn sinks greatly in importance by contrast. Hence fall of general Imports.

Imports Computed Value.
1865 1866 1867
Month ended July 31.
Enumerated articles £18,964,728 £19,597,929 £18,166,789
Deduct cotton 4,056,267 6,220,925 3,402,210
£14,908,461 £13,377,004 £14,764,579
Deduct cereals 1,913,772 2,626,174 3,942,623
£12,994,689 £10,750,830 £10,821,956
7 Months end. July 31 £94,264,668 £134,872,580 £121,663,140
Deduct cotton 24,534,839 53,569,684 35,769,409
£69,729,829 £81,302,896 £85,893,731
Deduct cereals 9,323,554 16,092,168 22,044,147
£60,406,275 £65,210,728 £63,849,584
Month ended July 31: Cotton Value £4,056,267 £6,220,925 3,402,210
ditto Wheat Value £ £908,683 1,301,438 2,352,710
Month end. August 31. Cotton quantity: 866,978 cwts 876,615 cwts 995,576 cwts.
ditto Wheat quantity cwts. 2,024,724 ctws. 1,744,864 3,287,469 cwts.
7 Months end. July 31. (Value) Cotton: £24,534,839 £53,569,684 £35,769,409
ditto Value. Wheat. £4,190,230 £7,229,232 £12,392,099
8 Months end. August. 31 Cotton. Quantity. cwts. 4,561,040 cwts 8,809,601 cwts 7,391,680 cwts
Cereals. Quantity. cwts. 11,565,473 15,529,299 21,031,647

Decrease in 7 months of 1867, compared mit same period in 1866, £13,209,480 or nearly 10% less.

Value of 7 months ended July 31: Imports. 1865 1866 1867
Aggregate. £94,264,668 £134,872,580 £121,663,140
Less Cotton and Cereals 33,858,393 69,661,852 57,813,556
Other Articles £60,406,275 £65,210,728 £63,849,584|

Thus, while in the 7 months 1865 cotton und cereals not much more than 1/3 of our import values, more than 1/2 in 1866, und nearly 1/2 in 1867. Taking the 7 months of the 3 years together; Cotton und Cereals (£.161,333,801) = 46%. Other articles (189,466,587) = 54%. (Zusammen £350,800,388 = 100%).

Striking out cotton und cereals import values of 7 months ’65, ’66 und ’67 nearly identical. Beweist daß diese 2 items chief causes affecting import values und money market. The relative proportion of cotton and cereals are changing rapidly. In 7 months of 1866 Cotton Imported valued at 531/2 mill., same months 1867 at 353/4 millions; while in same period 1866 cereals valued at 16 mill., in 1867 at 22 mill. We had more cotton in 1867 für less money und less cereals for more money. Cotton cheaper und less in demand 1867 als 1866, wheat dearer und more in demand.

Exports. British und Irish Produce. Declared Value.
1865 1866 1867
Months ended August 3 All articles £14,158,648 £17,450,156 £17,880,099 £17,880,999
Eight months end. August. 31. All articles. £102,400,696 £125,265,820 £121,056,913
Less cotton Yarn £5,926,776 £8,744,912 9,789,042
Less cotton manufactures 28,848,873 40,843,362 37,311,701
Total manufactured cotton. 34,775,649 £49,588,274 £47,100,743
Balance. Other Exports 67,625,047 £75,677,546 73,956,170
Less Linen Manufactures. 5,498,724 6,385,084 5,120,476
£62,126,323 69,292,462 69,835,694
Less Iron 8,327,857 10,032,283 9,996,476
53,798,466 59,260,179 58,839,218
Less Woollen Manufactures 12,131,587 14,886,071 14,198,731
£41,666,879 £44,374,108 £44,640,487

3/4 of our exports in value consist of cotton, linen, woollen manufactures und Iron. In August 1867 higher than in August ’66 und ’65.  Zusammenfassender Kommentar von Marx.
Vergleich der Imports und Exports, (speziell cotton und cereals für Imports) zeigt general international Balance, foreign Exchanges, current of Bullion, Money Market.

The Money Market Review, 12. Oktober 1867. S. 375.
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The Money Market. Reduction in the B.o.E. Discount Business. (Money Market Review 12 Oct. 1867.)

In open market for best bills rate of discount 11/4%, in B.o.E. 2%, 60% difference on the actual sum paid for discounts. On Oct. 11, 1865 the Private Securities were £6,992,000 more, banking Reserve £9,508,000 less, Gvt. Securities £3,084,000 less than the same items in present return. In 1864, 1863, 1862 the Private Securities were £21,923,000, £22,592,000 und £19,752,000 respectively, Reserve und Gvt. Securities much less than now. 2% at the Bk.o.E. means 3, 4 and 5% for manufacturers und traders Bills.

The Money Market Review, 12. Oktober 1867. S. 375/376.
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The „Times“ on Trade and Commerce and Prosperous Condition of Country (Money Market Review 12 Oct. 1867)

Nach Times in Art. of 1 und 2 Oct. entdeckt, daß trotz Stagnation of Money Market etc „Trade Returns show at least an average extent, with at least the usual profit. In short, profits are accumulating with rapidity in the form of capital“ und hence „result is an accumulation of unemployed capital beyond all example or belief“. Also der enormous amount of gold in B.o.E. not capital withdrawn from trade, but the rapidly accumulating profits now actually to be derived from trade! Ferner sagt die Times 2 Oct. „It is almost humiliating to find that the impoverishment of many hundreds, we may say thousands, of families makes hardly any difference in the labouring mass.  Kommentar von Marx.
(And East End of London etc!)
Gardeners and coachmen may not get places quite so easily, and fashionable shopkeepers may find their customers ordering little and paying less, but the great tide of incomings and outgoings flowing in the deep channels of trade shows no falling off, and tells us how little individuals, and even whole classes, are compared with the whole.“ Die Trade Returns (sieh p. 67 und diese Seite) zeigen für 7 months imports undMonts Months Exports falling off in exports of 4 Mill. £ und Imports upwards of 13 Mill. £. Amount of Exports no sure guide of state of prosperity; we may be compelled to export goods at low und unremunerative prices, tempting the foreigners to buy, because we are too poor to consume them at home, and have large amount of debt abroad, and no other means to pay them. Large exports may therefore indicate poverty at home, loss et ruin among the producers of those goods. Large imports , may may, under ordinary circumstances, indicate prosperity, aber nicht so always. The nature of the imports may show that we import, not because we have surplus wealth, but because we are labouring under great wants. Z.B. Deficient Harvest. Dieß Jahr 9 mill. £. (of imports) (articles of food) to make up deficiencies in food. Manufacturers etc must go on producing, whether they realise profits and wages of their labours or not. Capitalist und Foreigner who buy receive more, the producer less. If the oxen cannot eat whilst they labour, as at present, they will be in danger of perishing in the midst of the abundance they have created. If commerce pays 10%, this shows, nach Times Wort, that they can pay it.


  • Termin und Wohnadresse
  • 1868.
  • Chemie.
  • Auszüge aus The Money Market Review, 19. Mai 1866 bis 28. Dezember 1867
  • Standard 4 December 1868
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